Interim Results for the six months ended 31 July 2017

Walker Greenbank PLC (AIM: WGB), the luxury interior furnishings group, is pleased to announce its interim results for the six month period ended 31 July 2017.


  • Sales up 29.9% to £54.3 million (H1 2016: £41.8 million) including £10.3 million from Clarke & Clarke, the fabrics and wallpaper business acquired in October 2016
  • Overseas Brands sales growth and a strong revenue contribution from Clarke & Clarke offset a weaker UK performance
  • Adjusted underlying profit before tax* up 55.3% at £5.9 million (H1 2016: £3.8 million)
  • Licensing income up 21.1% in reportable currency, 17.9% in constant currency, at £1.3 million driven by new licensing agreements signed in the prior financial year including blinds in the UK and bedding in the US and Asia
  • Final settlement of the insurance claim in respect of the flood in December 2015 at Standfast & Barracks. These interim results include the recognition of £1.3 million (H1 2016: £3.3 million) of insurance reimbursements for loss of profits and net proceeds for asset replacement
  • Underlying profit from operations** up 52.8% at £5.5 million (H1 2016: £3.6 million)
  • Total statutory profit from operations at £4.8 million (H1 2016: £5.3 million) due to acquisition costs 
  • Adjusted earnings per share* up 39.4% at 6.86 pence (H1 2016: 4.92 pence)
  • Interim dividend up 25.5% at 0.69 pence per share (H1 2016: 0.55 pence per share)

* Excludes accounting charges relating to share-based incentives, defined benefit pension charge and non-underlying items, see note 6.
** Excludes acquisition costs and Standfast flood-related costs.

Terry Stannard, the Chairman of Walker Greenbank, said:

Our results for the first half of this year reflect a strong contribution from last year's acquisition of Clarke & Clarke, a positive export performance and significant growth in licensing.

Brand sales in the third quarter of the prior year included the invoicing of a backlog of flood-affected orders from the first half of the year. Against this comparator, in the first nine weeks of the current half year Brand sales excluding Clarke & Clarke were down 3.8% in reportable currency, down 4.8% in constant currency, but including Clarke & Clarke were up 31.7% in reportable currency.

Encouragingly, the Brands' order intake is growing ahead of last year and is on an improving trend in the run-up to our key autumn selling period. Subject to this momentum continuing, the Board expects to meet its expectations for the full year.

Analyst meeting

A meeting for analysts will be held at 10.00 a.m. today, 4 October 2017, at the offices of Buchanan, 107 Cheapside, London EC2V 6DN. For further details, contact Buchanan on 020 7466 5000.

For further information:

Walker Greenbank PLC +44 (0) 1895 221068
Investec Bank plc  
 Buchanan  +44 (0) 20 7466 5000
John Sach, Chief Executive  
Mike Gant, Chief Financial Officer  
Caroline Geary, Company Secretary  
Investec Bank plc +44 (0) 20 7597 5970
Garry Levin/David Anderson/Alex Wright - Nominated Adviser   
Henry Reast - Corporate Broking